Earlier this month, we questioned whether peak season would begin earlier than usual and whether it would bring stronger demand this year. It now appears we may have the answer to at least one of those questions.

A number of carriers have announced that Asia ocean freight rates will increase significantly again from 1st June. Depending on the carrier, this is through the introduction of a General Rate Increase (GRI) or Peak Season Surcharge (PSS), or both.

According to reports, overall demand on the Asia-Europe trade lane has risen noticeably over the past couple of weeks. Carriers are suggesting this increase reflects the beginning of an early peak season, rather than being solely driven by the recent wave of blanked sailings.

A similar trend is being seen on Asia–North America routes, where transpacific demand is also showing signs of strengthening. At least one carrier is understood to have introduced a seasonal West Coast extra loader service to support increased volume.

The scale of the June increases varies depending on the carrier, origin and destination. As is often the case with GRIs, it remains uncertain how long the higher rates will hold. However, it is worth noting that incremental rate increases introduced earlier this month are still in effect.

We therefore recommend that importers be prepared for rate adjustments from June onwards. We will continue to monitor developments closely and update affected customers when the situation becomes clearer.

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